Entrepreneurship Education (EE) is a fundamental element of entrepreneurship research. Its impact transcends the boundaries of universities and is a key component of the entrepreneurial ecosystem. Teachers and students are the research subjects of entrepreneurship education. We deviate from the dominant viewpoints of EE by explaining why the institutional context is a decisive component that supports or inhibits EE initiatives. Through a narrative case study, our results show that the context surrounding the teacher-student relationship can have a significant impact on entrepreneurial education. Unfortunately, institutional dynamics can pervert the original purpose of EE programs. Our conceptual model illustrates the dynamics that occur during an EE initiative and provides support for the development of better policies for the advancement of entrepreneurship in the university context and to improve the impact of EE.